Hong Kong cuts tax rates: no surprise there

Hong Kong cuts tax rates: no surprise there

October 11, 2007 10:50 AM

The Financial Times reports that Hong Kong will cut corporate and salary taxes by 1 percentage point to 16.5 and 15 per cent respectively.

This really isn't surprising. The Hong Kong government knows how to maintain the city's world-leading position, although the tax cuts have only used a small portion of last year's financial surplus. It's also true that a few years ago Hong Kong raised tax rates slightly.

But at least they are now being reduced. If only national insurance contributions could also come down again.

The Financial Times reports that Hong Kong will cut corporate and salary taxes by 1 percentage point to 16.5 and 15 per cent respectively.

This really isn't surprising. The Hong Kong government knows how to maintain the city's world-leading position, although the tax cuts have only used a small portion of last year's financial surplus. It's also true that a few years ago Hong Kong raised tax rates slightly.

But at least they are now being reduced. If only national insurance contributions could also come down again.

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